Re:Inside Information and Kodak Stock
by rco8786 on Saturday August 01, 2020 @08:30PM
(#24025221)
No. Once it’s public it’s public. It’s actually incredibly difficult to get charged and convicted of insider trading. It has to be really blatant.
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Re:Inside Information and Kodak Stock
by site-packages1 on Saturday August 01, 2020 @08:36PM
(#24025254)
It _really_ depends on who the person is and what their duty to the company is. Your statement is correct for those unaffiliated, but I’ve seen a fair share of prosecutions for insider trading for those with a duty to the company.
Matt Levine writes about this all the time. The current law is kind of murky.
If I remember correctly, 2 things need to be proven: 1) someone shared non-public information they shouldn’t have, 2) there was some consideration (money, etc) given for such information.
So there are cases where #2 becomes the issue because no money changed hands. Then the argument can get weird where the argument is “he offered the insider information in exchange for friendship”.